Loan to value ratio ltv Study guides, Class notes & Summaries

NMLS SAFE EXAM STUDY GUIDE What does TILA stand for? - Truth-In-Lending Act, Regulation Z What is a HELOC loan? - a secured loan in that you are borrowing against the equity that has been built in your house What is a REFI loan? - LTV stands for - Loan to Value Define PMI and state what the acronym stands for. - Private mortgage insurance- on conventional loans Define one time variable funding fee and people in what situations is it waived for? - Disabled veterans and survi...

Loan Components correct answers - Principal * Amount of money being borrowed - Debt Service * Fixed payments to the bank - Interest Rate * Percentage of loan balance - Amortization Rate * Number of years debt service payment is based on Principal Amount correct answers - The amount of principal the bank will lend is based on: * Cash flow projections * Present Value of the business * Loan-to-value ratio (LTV) * Loan-to-cost ratio (LTC) * Debt service coverage ratio (DSCR) -...

Mortgage Professionals Canada Exam Latest Update Graded A+ Mortgage a legal method by which a borrower can pledge property to the lender as security for a debt Where does today's mortgage industry trace its origin from? England -power of royalty and lords diminished due to development of middle class -loans secured by the right of ownership of the land became common -Here, the seller of the land supplied the credit to the purchaser Where does the term "mortgage" originate from? French words...

Loan-to-Value Ratio (LTV) - correct answerThe percentage of the lesser of the appraised value or sales price that the lender will lend. ex: If a borrower is approved for an 80% loan, it means that the lender will loan up to 80% of the sales price or appraised value, whichever is lower. Package Mortgage - correct answerIncludes both real and personal property ( fixtures and furnishings) Blanket Mortgage - correct answerCovers more than one piece of property. Wraparound Mortgage - corr...

NMLS SAFE EXAM QUESTIONS AND ANSWERS GRADED A+ Primary Mortgage Market Where credit institutions originate loans C. The maximum the rate can increase over the life of the loan When an ARM has rate caps of 5/2/6, the 6 refers to what? A. The maximum rate increase at the initial adjustment B. The start rate for the loan C. The maximum the rate can increase over the life of the loan D. The rate maximum the rate can decrease over the life of the loan Brainpower Read More Pre...

HUD EXAM PREP COMPLETE QUESTIONS and ANSWERS! Types of Credit Used - ANSWER Student loan or credit cards only FAKO scores - ANSWER purchase score which are educational score Fair Credit Reporting Act FCRA - ANSWER what is in file/dispute/remove 30 days/remove bad 7 yrs/bk 10 yrs/access limited/damages from violators/state rights Fair and Accurate Credit Transactions Act FACTA - ANSWER free cbrs/fraud alert/truncate cc #s Fair Credit Billing Act (FCBA) - ANSWER dispute bill error/m...

Default - When no payments made after 60 to 90 days... 30 for FHA loans Front-End Ratio Equation - Monthly housing expenses/gross monthly income Front-End Ratio maximums - 28% or less - conventional loan 31% or less for FHA, 30% or less for rentals Back-End Ratio (Debt-to-Income) Equation - total monthly debt expenses/gross monthly income Back-End Ratio Caps - 36% for conventional loans and renters, 43% for FHA, 45% for Energy Efficiency Mortgage loan Four C's of Credit - Character, Capa...

Loan-to-Value Ratio (LTV) - ANSWERSThe percentage of the lesser of the appraised value or sales price that the lender will lend. ex: If a borrower is approved for an 80% loan, it means that the lender will loan up to 80% of the sales price or appraised value, whichever is lower. Package Mortgage - ANSWERSIncludes both real and personal property ( fixtures and furnishings) Blanket Mortgage - ANSWERSCovers more than one piece of property. Wraparound Mortgage - ANSWERSMethod of financin...

Loan-to-Value Ratio (LTV) - Answer- The percentage of the lesser of the appraised value or sales price that the lender will lend. ex: If a borrower is approved for an 80% loan, it means that the lender will loan up to 80% of the sales price or appraised value, whichever is lower. Package Mortgage - Answer- Includes both real and personal property ( fixtures and furnishings) Blanket Mortgage - Answer- Covers more than one piece of property. Wraparound Mortgage - Answer- Method of fina...

NMLS PRACTICE QUESTIONS WITH SOLUTIONS LATEST UPDATED 2024 which federal agency administers Regulation B implementing ECOA, Rgulation C implementig HMDA and Regulation Z implementing TILA? FEDERAL RESERVE SYSTEM the clause in a mortgage that allows the lender to foreclose if the borrower defaults is the Acceleration Clause at closing a borrower may deposit funds to establish reserves for which of the following? TAXES AND INSURANCE in a qualification of an applicant who...